Is the RM7.9 billion supplementary spending already used?

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The RM7.9 Billion Supplementary Allocation for 2025 Has Been Fully Utilised

The additional supplementary allocation of RM7.9 billion, which forms part of the broader RM8.4 billion First Supplementary Operating Expenditure Estimate for 2025, has been fully spent within the 2025 fiscal year. This expenditure was accounted for within the actual operating expenditure for 2025, which totalled RM330.8 billion, a figure that remained below the originally approved operating allocation of RM335 billion for the year. The utilisation of these funds did not impact the government's initial fiscal deficit target of 3.8 per cent for 2025.
Allocations to Key Ministries

The RM7.9 billion supplementary allocation was distributed among specific ministries to address their increased financial needs. The Finance Ministry (MOF) received the largest portion, amounting to RM6.69 billion. The Domestic Trade and Cost of Living Ministry (KPDN) was allocated RM993.94 million, and the Education Ministry (MOE) received RM257.59 million. These figures represent the specific amounts that were debated and approved under the Supplementary Supply Bill 2025.
Impact on Fiscal Deficit Target

Amir Hamzah Azizan, the Finance Minister II, confirmed that the full utilisation of this additional allocation did not compromise the targeted fiscal deficit for 2025. He further noted that the fiscal deficit had, in fact, seen a decline to 3.7 per cent as of the reporting period. This indicates that despite the supplementary spending, the government managed its overall financial position effectively within the established targets.
Reasons for Increased Expenditure

The supplementary allocations were necessitated by various factors affecting different ministries. For KPDN, the additional RM993.94 million was primarily to manage the increased costs associated with global crude palm oil (CPO) prices. The market price for refined, bleached, and deodorised palm olein reached RM4,500 per tonne in 2025, a significant rise from below RM4,000 per tonne in 2023, while the subsidised cooking oil packet price remained at RM2.50 per kilogramme. For the MOE, the RM257.59 million was designated to cover operational deficits at several public universities, including International Islamic University Malaysia, Universiti Malaysia Sarawak, Universiti Malaysia Sabah, Universiti Teknologi MARA, and Universiti Sains Islam Malaysia, due to rising utility costs, increased contract values following a sales and service tax hike, minimum wage implementation, and urgent maintenance needs.

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Is the RM7.9 billion supplementary spending already used?

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